2: Which of the following current year events would explain
fall in on entity's operating profit margin compared to the
previous year?
A- a decision to value inventory on the average cost basis
from FIFO, Unit prices of inventory had risen during the
current year
B- an increase in gearing leading to higher interest costs
C- a reduction in the allowance for uncontrollable receivables
D- A change from the amortization of development costs
being included in the cost of sales to being included in
administrative expenses
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